The Research On The Preferential Tax Rate Of Chinese Enterprise Annuity-Based On EET Tax System

The Sixth Census data show that the population aged 60 and above accounted for 13.26% of the population. It has increased 2.93% than ten years ago and means that the aged population of China are speeding up step by step. The worldwide pension problem has also brought great pressure to China. One reason is that it reduces the effects of demographic dividend. Another reason is that it will bring great financial pressure to the pay of primary endowment insurance in future. As the second pillar, the enterprise annuity is one of the most important supplements of basic endowment insurance. It is playing an increasingly important role and more and more people pay attention to it.However, at present, the development of the enterprise annuity in China is far behind the developed countries. The main reason is that it lacks the corresponding preferential tax policies. In December 2013, the enterprise annuity preferential tax rate was increased in the country and the EET tax mode was clearly decided. Most agencies believe that the preferential policy will become the “outbreak combustion device” of the scale of enterprise annuity, and then the number of enterprises that attend the enterprise annuity will rapidly expanding. But according to the recent published data of relevant departments, by the end of the third quarter of 2014, the increased rate of the newly attended companies is only 8.38% and the number of the newly attended employees are only increased by 7% while the new attended companies added 20.84% and the new attended employees attended 10.17% by the end of 2013 before the implementation of EET tax system. It’s seemed that the growth of the enterprise annuity is not into to explosive phase and the effect of the preferential tax is questionable. At the same time, there are almost no small and medium-sized enterprises that have attended it. Though very few large companies have the attempts, the proportion is still less than ten percent of the total scale of the enterprise annuity.This paper adopts document research method, comparative analysis method, case study method and the combination of qualitative and quantitative method, starting from the basic theory of enterprise annuity, for the comparison of the economic effects and fitness of different preferential tax models, and thus knows that the EET model has stronger applicability. By comparing the preferential tax of the OECD counties, and combining the present preferential tax situation of Chinese enterprise annuity, it is concluded that the biggest problem facing the development of enterprise annuity in our country is that the preferential tax rate is too low by analyzing the existing problems of the EET tax system. Through calculating the optimal enterprise contribution rate on the base of the target replacement rate, it gets the optimal preferential tax rate that can make the enterprise annuity develop rapidly with the smaller tax cost, and then the various influencing factors of the preferential tax rate are analyzed. On this basis, the feasibility test is carried on according to our national conditions. Finally, related suggestions are put forward towards the preferential tax rate of the enterprise annuity.